Colorado PERA offering changes to cut liabilities
The Colorado Public Employees Retirement System will seek legislation that will suspend benefit increases for current retirees, increase costs for employers and boost contributions by future employees.
“Everybody gets to have a little pain,” said Greg Smith, chief executive officer of the retirement system, who announced the package after the end of three days of meetings today.
The board of trustees voted 14-1 today on a package of changes it will seek to have adopted by the the legislature.
Among the changes:
• Current retiree will go two years without annual increases, part of a move to bring them back to inflation;
• Increased employer and employee contributions to the program;
• and changes in the way retirees’ benefits are calculated.
The package will reduce the system’s $30 billion unfunded liability by an immediate $4 billion and bring the plan into compliance with standards in 30 years, Smith said.
Read The Daily Sentinel and GJ Sentinel.com for more information on this story.